Atlinks Acquires 5Gen Care and Chillax in Revolutionary Shift Toward Advanced AI and IoVT Technology Development
Sets Sights on Aggressive Expansion into the North American Market
HONG KONG, Jan. 9, 2024 /PRNewswire/ -- Atlinks Group Limited ("Atlinks" or 'the Company"), along with its subsidiaries ('the Group"; stock code: 8043.HK), is pleased to announce that the Group has entered into the Sale and Purchase Agreements to acquire 100% issued share capital of 5Gen Care Limited and 5GenCare.com Limited ("5Gen Care"), and 100% issued share capital of Chillax Care Limited and Chillax Technology Limited ("Chillax") on 2 January 2024.
Mr. Tong Chi Hoi, CEO of Atlinks, said, "We are excited that the acquisitions align with the Group's strategic goal of innovative technology development. This transformative move enables us to evolve into an integrated software and smart video streaming devices development company focusing on artificial intelligence (AI) and Internet of Video Things (IoVT). By leveraging on research and development capabilities in key areas such as AI, IoVT, end-to-end solutions and software development of 5Gen Care, we can extend our products lines from the development and sale of telecommunication products and senior products to include video streaming on smart baby monitors for mobile devices in North American markets. These will become our long term new growth drivers."
The acquired company, 5Gen Care and 5GenCare.com Limited, were incorporated in Hong Kong during 2020 to 2022. They are software development companies offering fully integrated, stable and secure end-to-end solutions for IoVT. Their services enable electronic devices to go online and build mobile applications for remote control and management. The end-to-end solutions includes firmware, cloud connectivity software, and application software development services and it sells UDID (Unique Device Identification) to each of electronic device and provides corresponding services. 5Gen Care currently serves numerous customers, including multinational brand, with its solutions installed in hundreds of thousands of devices worldwide. It has recently initiated a user subscription model for paid features, which has shown initial success.
Chillax and its group companies, were founded in Hong Kong during 2021 to 2022, are principally engaged in selling baby monitor to mobile devices under the brand, "Chillax" in North America.
Upon completion of the acquisitions, 5Gen Care and Chillax, along with their respective group companies, will become indirect wholly-owned subsidiaries of the Company.
The Group believes the acquisitions will be transformative, and will set the stage for enhanced market presence, diversified products and services and accelerated innovation. The Group expects the strategic integrations will not only solidify its position in existing markets, but also open up new avenues for growth and customer engagement.
At a commercial level, the Group is set to grow through the acquisition of 5Gen Care and Chillax, both bringing valuable assets. 5Gen Care has developed reliable and secure IoVT software and has established a skilled research team in Hong Kong and Vietnam. Its software is widely used across many countries, and its new paid subscription service is already performing well. Chillax's baby monitors aligns perfectly with the Group's existing product roadmap and its robust online sales will help the Group's expansion into online business. Simultaneously, the Group will use its retail strength to boost Chillax's sales. With Chillax operating primarily in the USA and the Group mostly in Europe, this move represents a smart step toward growing the business in new markets.
From operation perspective, by leveraging Atlinks' production and logistics capabilities, the Group expects to achieve greater cost efficiency and operational effectiveness. This strategic integration is anticipated to reduce costs and enhance the overall efficiency for Chillax products, ultimately benefiting the bottom line.
For technology aspects, the merger of the R&D teams from both companies will accelerate innovation and adaptability. This synergistic collaboration aims at both developing cost-effective solutions and flexibility that meet the needs of both the baby and senior care markets. The combined expertise and resources are expected to lead to faster innovation cycles, better product offerings, and an enhanced ability to adapt to market changes.
Mr. Tong added, "Looking forward, the Group expects to utilise the Group's R&D capability and to apply AI and IoVT to other fields to further enrich our product lines, particularly in smart devices beyond telecommunications, senior and baby monitor markets. Our mission is to develop innovative and smart video streaming products characterized by advanced features, durability, reliability, safety and value-for-money. Our goal is to enhance the quality of life for the public through widespread access and use."
About Atlinks Group Limited
The Group is principally engaged in designing, developing and selling home and office telecommunication products to retailers, telecommunication operators and distributors customers all around the world (except North America) under three brands, namely Alcatel, Swissvoice and Amplicomms. Atlinks was listed on the GEM Board of the HKEx on 19 January 2018 (stock code: 8043.HK).
SOURCE Atlinks Group Limited
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